In This Guide
Hiring the right contractor can make or break your remodeling project. In San Diego, where construction activity is high and scams unfortunately exist, knowing how to vet contractors properly protects your investment and ensures a successful project.
This guide walks you through every step of hiring a contractor, from finding candidates to signing a contract that protects you.
7 Steps to Hiring a Contractor
Define Your Project Scope
Before contacting contractors, write down exactly what you want done. Include room dimensions, materials you prefer, timeline expectations, and your budget range. The more specific you are, the more accurate quotes you'll receive.
Get At Least 3 Quotes
Contact at least 3-5 contractors for quotes. This gives you a realistic price range and helps identify outliers (both unusually high and suspiciously low bids).
Verify License & Insurance
Every California contractor must have a valid CSLB license for projects over $500. Verify at cslb.ca.gov. Also request proof of workers' comp and liability insurance.
Check References & Reviews
Ask for 3-5 recent references (projects completed in the last 2 years). Call them. Also check Google reviews, Yelp, and the BBB. Look for patterns in feedback.
Review Past Work
Ask to see photos of completed projects similar to yours. If possible, visit a current job site to see their work quality and how they manage a project.
Get a Detailed Written Contract
Never accept a verbal agreement. The contract should include scope of work, materials specifications, timeline, payment schedule, change order process, and warranty information.
Never Pay More Than 10% Upfront
California law limits contractor deposits to 10% of the contract price OR $1,000, whichever is less. This protects you from paying for work that never happens.
How to Verify a California Contractor License
The California Contractors State License Board (CSLB) maintains a free online database. Here's what to check:
- Go to CSLB License Lookup
- Enter the license number or contractor's name
- Verify the license is ACTIVE
- Check that the license class matches your project type
- Look for any complaints or disciplinary actions
- Confirm workers' compensation insurance is current
Common License Classes in San Diego
- B - General Building: Can do full remodels, additions, new construction
- C-10 - Electrical: Electrical work only
- C-36 - Plumbing: Plumbing work only
- C-39 - Roofing: Roofing work only
- C-15 - Flooring: Flooring installation
- C-54 - Tile: Tile and stone installation
Getting & Comparing Quotes
What a Good Quote Should Include
- Detailed scope of work (not just "kitchen remodel")
- Specific materials with brands and model numbers
- Labor costs broken down by trade
- Permit costs
- Timeline with milestones
- Payment schedule
- What's NOT included
- Warranty information
Comparing Quotes Fairly
Make sure you're comparing apples to apples. A lower quote might exclude permits, use cheaper materials, or have a vague scope. The cheapest bid is rarely the best value - look for the most complete and transparent estimate.
Red Flags to Watch For
- Demand large upfront payments (more than 10%)
- Only accept cash or don't provide receipts
- Pressure you to sign immediately
- Can't or won't provide license number
- Don't have a physical business address
- Offer to skip permits "to save money"
- Have no online presence or reviews
- Won't provide references
- Give quotes over the phone without seeing the project
- Show up uninvited offering "leftover materials" discounts
What Should Be in Your Contract
A proper construction contract protects both you and the contractor. Ensure it includes:
- Full legal names and contact info for both parties
- Contractor's license number
- Complete scope of work (detailed, not general)
- Materials specifications (brands, models, colors)
- Total price and payment schedule
- Start date and completion date
- Change order process and pricing
- Permit responsibilities (who pulls, who pays)
- Cleanup and debris removal
- Warranty terms
- Dispute resolution process
- 3-day right to cancel (California law)
Payment Schedule & Protection
Recommended Payment Schedule
- Deposit: 10% or $1,000 max at signing (California law)
- After Demo: 20% when demolition is complete
- Rough-In: 25% when framing/plumbing/electrical rough-in complete
- Near Completion: 35% when work is substantially complete
- Final: 10% after final inspection and punch list complete
What to Do If Problems Arise
- Document everything: Photos, emails, dates of conversations
- Communicate in writing: Email or text creates a record
- Review your contract: Check what it says about disputes
- File a complaint with CSLB: If contractor is licensed, file at cslb.ca.gov
- Contact your local DA: For fraud or abandonment
- Small claims court: For disputes up to $12,500
- Contractor's bond: You may be able to recover from their bond
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